France: Gentle inflation slowdown
French consumer prices remained unchanged in June. The expected energy prices decline has been offset by the unexpected 0.2% rise in the core index. Headline inflation has thus only slowed down moderately (from 2% to 1.9% on a year- on-year basis) while core inflation went slightly up, from 1.4% to 1.5%. The weakness of growth calls for even less inflation.
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